Can I retire at age 40 with 985,000?

Use the below retirement simulation to view the chances of a successful retirement.
Confused? Try the simple retirement calculator
About Your Retirement ?
Current Age
Retirement Age
Current Savings $
Annual Deposits $
Annual Withdrawals $
Stock market crash:
Portfolio ?
% in Stocks:
% in Bonds:
% in Cash:
Modify Stock Returns:
0%
Modify Bond Returns:
0%
Modify Cash Returns:
0%
Modify Inflation:
0%
How much money do I need to retire?

This retirement calculator runs simulations based on past data from the S&P 500, 10 Year Treasury Bond, 3 month T-Bill, and US inflation. For each year of each simulation, a random return and inflation amount is chosen.

How to use: Enter your current age and the age when you retire. Then enter your current savings, the amount that you can save annually before you retire, and the amount that you plan to withdraw after retirement. Your annual deposits and withdrawals take inflation into account. For example, if you need $50,000 to live on in retirement using today's dollars, we will automatically take into account the cost of living for your retirement years. The same is true for your annual deposits. Next, decide if you'd like to simulate a stock market crash.

In the portfolio section, choose the makeup of your portfolio with stocks, bonds, and cash. Cash assumes that your money is stored in a savings account. You can then alter the future returns and inflation. For example, if the market has historically returned about 10%, but you think the future will be worse, modify the stock returns by -3%, and the future returns will average out to 7%. Investment fees can also lower stock market returns. Many index funds and ETFs offer extremely low fees and expenses.

Many people receive income in retirement, such as social security, pension plans, part time jobs, annuities, and other benefits. This would allow you to take out smaller distributions every year. Please note that taxes must also be considered, but are not used in this simulation. A 401k, Roth IRA, and Traditional IRA are taxed differently than a standard investment account, as are dividends.

Note: This assumes that the future is at least somewhat like the past. In reality, anything could happen. The Soviet Union collapsed, Japan's Nikkei Index is still well below its 1989 peak. Numerous other markets have changed drastically and never recovered. However, this online tool is helpful in retirement planning and estimating how much you might need for retirement, especially those hoping to retire early. We recommend receiving advice from a financial planner.

Want to retire with $985,000?

Depending on your rate of return and investment timeframe, you'll need to save this amount every month.
2%4%6%8%10%18.4%
1 years$81,340$80,616$79,909$79,219$78,545$75,879
2 years$40,268$39,518$38,791$38,086$37,403$34,743
3 years$26,578$25,825$25,100$24,402$23,730$21,161
4 years$19,735$18,984$18,267$17,580$16,924$14,465
5 years$15,630$14,884$14,176$13,503$12,866$10,523
6 years$12,895$12,154$11,456$10,799$10,180$7,956
7 years$10,941$10,207$9,520$8,878$8,279$6,173
8 years$9,477$8,749$8,074$7,448$6,868$4,878
9 years$8,339$7,618$6,954$6,344$5,784$3,908
10 years$7,429$6,715$6,063$5,468$4,928$3,163
11 years$6,684$5,978$5,337$4,759$4,239$2,581
12 years$6,065$5,365$4,737$4,174$3,673$2,119
13 years$5,541$4,849$4,232$3,685$3,203$1,748
14 years$5,092$4,407$3,802$3,271$2,808$1,448
15 years$4,704$4,026$3,433$2,918$2,472$1,204
16 years$4,364$3,694$3,113$2,612$2,185$1,003
17 years$4,065$3,402$2,832$2,347$1,937$838
18 years$3,799$3,143$2,586$2,115$1,723$701
19 years$3,561$2,913$2,367$1,911$1,535$588
20 years$3,348$2,707$2,172$1,731$1,371$493
21 years$3,155$2,522$1,998$1,571$1,227$414
22 years$2,980$2,354$1,842$1,428$1,100$348
23 years$2,820$2,202$1,700$1,301$987$293
24 years$2,674$2,063$1,573$1,187$888$247
25 years$2,539$1,936$1,456$1,084$799$208
26 years$2,416$1,819$1,351$991$719$175
27 years$2,301$1,712$1,254$907$649$148
28 years$2,195$1,613$1,166$831$585$124
29 years$2,097$1,522$1,085$762$528$105
30 years$2,005$1,437$1,011$699$477$89
31 years$1,919$1,359$942$642$432$75
32 years$1,839$1,286$879$590$391$63
33 years$1,764$1,218$821$543$353$53
34 years$1,693$1,154$767$499$320$45
35 years$1,627$1,095$717$460$290$38
36 years$1,564$1,039$671$423$263$32
37 years$1,505$987$628$390$238$27
38 years$1,450$938$588$360$216$23
39 years$1,397$892$551$332$196$19
40 years$1,347$848$516$306$177$16
41 years$1,299$808$484$282$161$14
42 years$1,254$769$454$260$146$12
43 years$1,211$733$426$240$133$10
44 years$1,170$698$400$222$120$8
45 years$1,131$666$376$205$109$7
46 years$1,094$635$353$189$99$6
47 years$1,059$606$331$175$90$5
48 years$1,025$579$311$162$82$4
49 years$993$553$293$149$74$4
50 years$962$528$275$138$67$3

Sample Expected Returns by Investment Class

How long will my money last in retirement? Person retiring at age 40 starting with $985,000, adding $3,891 every year, while hoping to spend $26,253 every year in retirement. These numbers increase with inflation.
Reality usually performs much different than the expected returns. This uses historical averages, but anything can happen. In general, riskier investments have greater returns on average, but more volatility in the short term.
Age Total: 100% Stocks Total: 100% Bonds Total: 100% Cash Total: 33/37/30 Blend
39$985,000$985,000$985,000$985,000
40$1,089,484$1,037,279$1,022,011$1,115,427
41$1,172,678$1,060,172$1,028,315$1,158,497
42$1,263,478$1,083,308$1,033,951$1,202,299
43$1,362,632$1,106,669$1,038,868$1,249,005
44$1,470,964$1,130,240$1,043,013$1,298,893
45$1,589,380$1,153,999$1,046,332$1,352,266
46$1,718,879$1,177,926$1,048,766$1,409,463
47$1,860,558$1,201,999$1,050,253$1,470,854
48$2,015,629$1,226,191$1,050,731$1,536,851
49$2,185,425$1,250,475$1,050,132$1,607,906
50$2,371,411$1,274,822$1,048,384$1,684,519
51$2,575,205$1,299,198$1,045,415$1,767,243
52$2,798,586$1,323,569$1,041,147$1,856,688
53$3,043,515$1,347,897$1,035,498$1,953,526
54$3,312,150$1,372,140$1,028,383$2,058,500
55$3,606,868$1,396,254$1,019,713$2,172,430
56$3,930,289$1,420,191$1,009,395$2,296,221
57$4,285,299$1,443,900$997,329$2,430,872
58$4,675,074$1,467,326$983,414$2,577,485
59$5,103,115$1,490,409$967,542$2,737,277
60$5,573,279$1,513,085$949,601$2,911,590
61$6,089,814$1,535,286$929,473$3,101,907
62$6,657,398$1,556,939$907,034$3,309,863
63$7,281,189$1,577,965$882,156$3,537,263
64$7,966,866$1,598,281$854,704$3,786,097
65$8,720,686$1,617,797$824,536$4,058,564
66$9,549,544$1,636,416$791,505$4,357,086
67$10,461,034$1,654,038$755,458$4,684,340
68$11,463,526$1,670,552$716,232$5,043,276
69$12,566,239$1,685,842$673,659$5,437,149
70$13,779,332$1,699,785$627,563$5,869,552
71$15,113,998$1,712,248$577,761$6,344,446
72$16,582,568$1,723,091$524,058$6,866,202
73$18,198,631$1,732,164$466,256$7,439,642
74$19,977,159$1,739,308$404,143$8,070,083
75$21,934,649$1,744,353$337,501$8,763,390
76$24,089,276$1,747,119$266,100$9,526,035
77$26,461,070$1,747,416$189,703$10,365,151
78$29,072,100$1,745,041$108,058$11,288,608
79$31,946,683$1,739,776$20,907$12,305,086
80$35,111,614$1,731,395$0$13,424,155
81$38,596,419$1,719,653$0$14,679,451
82$42,433,632$1,704,294$0$16,068,175
83$46,659,102$1,685,044$0$17,596,559
84$51,312,333$1,661,614$0$19,278,856
85$56,436,855$1,633,697$0$21,130,775
86$62,080,634$1,600,968$0$23,169,634
87$68,296,526$1,563,083$0$25,414,519
88$75,142,774$1,519,677$0$27,886,469
89$82,683,560$1,470,364$0$30,608,673
90$90,989,607$1,414,735$0$33,606,691
91$100,138,849$1,352,359$0$36,908,696
92$110,217,165$1,282,779$0$40,545,741
93$121,319,191$1,205,509$0$44,552,051
94$133,549,208$1,120,040$0$48,965,350
95$147,022,135$1,025,829$0$53,827,218
96$161,864,604$922,306$0$59,183,484
97$178,216,160$808,865$0$65,084,659
98$196,230,578$684,869$0$71,586,416
99$216,077,313$549,643$0$78,750,115
100$237,943,097$402,475$0$86,643,385